Machinery price inflation

[EddieB]

I was reading David Montgomery’s ‘Dirt, The Erosion of Civilisations’ and was drawn to this paragraph.

“The cost of the new machines added up to more than many small farms could afford. From 1910 to 1920 the value of farm implements on a typical Kansas farm tripled. In the next decade the cost tripled again as more farmers bought more tractors, trucks and combines. When prices for grain were high, it was profitable to operate the machinery. When prices dropped as they did after the First World War, many farmers were saddled with unmanageable debt.”

Not much changes in a hundred years.

 

[daveydiesel1]

True or not i was told that the government and harry ferguson came up with the idea to sell tractors with loan repayments, as once the farmer had payments to be made he had to farm more than would just provide for his family thus providing plenty o food to get away from ration cards. Pretty smart/fly plan. Just rabbit and carrot the way we still are today always thinkin theres better times round the corner if we keep goin. Often wonder if there was no such thing as finance would we be better of as companies couldnt be chargin 100k+ for new tractors and land prices would have to be more realistic